Insights into Modern Data Cleaning and it’s significance to your business
A few decades ago nobody thought about data cleaning. Managers at all levels could make important business decisions based solely on their experience or ‘gut-feelings’. They get away with it- perhaps even end up making profits. However, business intelligence and clean data have become a key factor in staying ahead of the competition. This crude approach to business’ decision-making no longer seems to work.
In fact, according to the results communications a recent study published in the Harvard Business Review, it is clear that evidence-based decisions are becoming increasingly important within the business environment and are no longer just a luxury that can be replaced by ‘gut-feelings’ at any time. The essential foundation for all business decisions today is the possession of good data and constant Data Cleaning and the following facts clearly prove this:
1– The American economy, in terms of tangible costs like staff overheads and unnecessary postages to invalid addresses, loses about $611 billion every single year!! That amounts to a significant percentage of the country’s entire GDP, and while it may seem like an abstract figure withdrawn from your business, it could still cause damages to your bottom line. (Data provided by Data warehousing institute on their study on Data Cleaning and its results)
2- A company can boost its overall revenue by at least 66% simply by adopting and implementing the best practices in data quality and regular data cleaning.
3- A company could lose between 20-35% of its total operating revenue through the presence and use of bad data.
But everything is not entirely gloomy, and fact# 4 offers a ray of hope to businesses from all around the world- in the year 2012 user data collection increased to about 50 collection events on average up from the previous ten collection-events. This represents nearly a 400% increase in the collection of user data from different sources be it online or offline.
With every passing year, data managers need to deal with multiple problems as the variety, volume, and velocity of data continues to increase. Previous CRM and data management systems that were once very reliable are quickly becoming obsolete, and managers are looking for more robust, efficient and versatile data administration and cleaning systems. Then, of course, there is always the problem of dealing with old or wrong data to make it relevant, useful and cost-effective for the business in general.
The quality of data stored within a company’s CRM will determine, directly or indirectly, the productivity and profitability of the enterprise. Obsolete or incorrect data may not only just cost you money and valuable time, but it could also damage the reputation of your company among present and prospective clients. These are just a few of the reasons why it is the interest of every forward-looking business to adopt and install quality data-management systems, and this process begins by cleaning all your data, Read more about Data Cleaning here by raising an inquiry on our website.
Sources of bad data and why it is important to clean bad data regularly:
Bad data can come from many sources. Consider the following:
- No matter the level at which the interaction takes place, all business communications are eventually between humans. Humans will never really remain stagnated for long. As people move, change or die, the data concerning them becomes obsolete. It leaves you with completely useless data. Even under the best circumstances, without proper data management, about 25-30% of your organisation’s data will continue to become irrelevant. In reality, data experts agree that the rate of data decay stands at about 4% per month on average.
- Information and data are only as intelligent as the person who collects and records it. However, since most businesses have physical data collection points operated by human beings, mistakes are to be expected during the data collection and entry process. Mistakes such as misspellings, missing phone numbers, and duplicate contacts are not uncommon in such situations, but they can be very hard to spot manually and eventually find their way into the company’s database where they get eventually stored as bad data. The problems associated with this kind of data are two-fold;
- Using wrong contact information means that your correspondence does not reach its audience. Thus, any money spent in preparing and sending the said communication will go to waste.
- Clients and prospects tend to respond more favourably to correspondence if that correspondence bears accurate information about them. And then, there is the age-old problem of spamming your audience’s inboxes with multiple emails. This would be the case if you have duplicate data present in your CRM system.
It’s worth pointing out that data collection and proper Data Cleaning is necessary into every business’s every section. For instance, marketers can incorporate data collection tools into their strategies instead of just flooding their audience with information.
Expert data cleaning service:
At BizProspex we are committed to helping our customers get rid of all bad data. Our team ensures that you have only clean databases in your CRM system through our Manual Data Cleaning effort. We have a special and wide range of cleaning and data appending services to provide a one-stop solution for all.
At BizProspex we make sure that all our clients’ data have amendments in all of their stales-data. We make it relevant to their current situations. Our experienced team of data experts are aware of exactly how to validate and modify data. What’s more, we understand just how expensive the data cleaning and updating process can be for businesses. So we do all in our power to provide affordable rates that can fit within your budget.